Actual cash value (ACV)
What damaged property is worth today, after depreciation. ACV payouts are usually lower than replacement cost.
Replacement cost
What it costs to repair or replace property with new materials of similar kind and quality, without subtracting for depreciation.
Dwelling limit
The most a home policy pays to repair or rebuild the house itself. It should reflect the cost to rebuild, not the market value.
Deductible
The amount you pay toward a covered claim before insurance pays. Some policies have a separate wind and hail deductible.
Declarations page
The summary page of your policy that lists who is insured, what is covered, limits and deductibles.
Endorsement
An add-on that changes a policy, such as water backup coverage or scheduled jewelry.
Liability coverage
Pays for injuries or damage you are legally responsible for, plus legal defense.
Umbrella policy
Extra liability coverage above your home, auto and boat limits.
Water backup
Coverage for water that backs up through drains or sewers or overflows a sump pump. It is usually an endorsement.
Flood insurance
Covers rising surface water. Standard home policies generally exclude flood.
Personal injury protection (PIP)
Minnesota no-fault auto coverage for medical costs and some lost wages after a crash, regardless of fault.
Uninsured / underinsured motorist
Protects you when the at-fault driver has no insurance or not enough.
Loss payee / mortgagee
A lender or lienholder listed on your policy who is paid along with you on a covered loss.
Certificate of insurance (COI)
A document that shows proof of coverage to a third party, such as a general contractor or landlord.
Binding
When coverage is officially put in force by the insurance company.
David Olson is a licensed Minnesota insurance producer (MN License #40937238). Intrinsic Insurance was founded in 2020 and is part of an independent insurance agency. Coverage is subject to underwriting and availability. This page is general information, not a coverage decision; your policy wording controls.
One of the things that sets Intrinsic Insurance apart is our commitment to our customers. We believe that insurance should be easy to understand and easy to use, and we strive to make the process as smooth and stress-free as possible. Our agents take the time to get to know our customers and their unique needs, so we can provide personalized coverage that meets their specific requirements. Over time, we’ve earned a reputation for exceptional customer service and expertise in the insurance industry, real estate, and construction. We’re proud to have a team of experienced agents who are dedicated to providing our customers with the highest level of service and support. Our agents are knowledgeable, friendly, and always available to answer questions or help our customers file a claim.